Bitcoin News Today: Judge Grants $1M Bail in Crypto Kidnapping Case Prohibits Bitcoin Use

Two suspects in a high-profile New York City cryptocurrency-linked torture and kidnapping case—John Woeltz, 37, and William Duplessie, 33—were granted $1 million bail each following a court hearing presided over by Judge Gregory Carro. The charges include coercion, assault, and kidnapping, with both men pleading not guilty. The court’s decision allows them to remain under electronic monitoring and restricted movement while the investigation continues [1].

The case centers on an unidentified 28-year-old Italian cryptocurrency investor, who allegedly endured weeks of captivity at a Manhattan townhouse in June 2025. Prosecutors allege that Duplessie and Woeltz subjected the victim to physical abuse, including binding, shocking, and threatening him with a firearm, in an attempt to access his Bitcoin assets. The victim’s escape—after convincing a suspect to allow him use of a laptop—led to his hospitalization with injuries consistent with prolonged abuse. Law enforcement discovered drugs, weapons, and surveillance equipment at the scene, suggesting premeditated intent [2].

The bail conditions prohibit payments in Bitcoin, a decision Judge Carro justified by citing the cryptocurrency’s volatility and potential for untraceable asset liquidation. Both defendants must surrender passports, undergo security inspections every 72 hours, and comply with electronic monitoring. The defense argued the ordeal was a consensual “hazing” incident where the victim participated voluntarily for 17 days, a claim prosecutors dismissed as implausible given the alleged severity of the abuse [3].

The case has ignited broader discussions about the intersection of cryptocurrency and violent crime. Prosecutors emphasized the gravity of the charges, noting the victim’s injuries, the duration of captivity, and the defendants’ lack of prior criminal records as factors in the court’s deliberations. Experts have highlighted a growing trend of crypto-linked kidnappings and ransom threats, with security firms reporting increased demand for protective services for high-net-worth cryptocurrency holders [2].

Judge Carro’s ruling reflects a balance between due process and public accountability. While the $1 million bail threshold aims to ensure the defendants’ compliance with conditions, critics argue it may not adequately deter future crimes as more individuals store wealth digitally. The trial’s outcome could set legal precedents for prosecuting crimes involving decentralized assets, where traditional frameworks struggle to address anonymity and cross-border complexities.

The incident has also drawn scrutiny of law enforcement conduct, as two officers from Mayor Eric Adams’ private security detail—accused of transporting the victim to his captors—were placed on modified duty. The mayor’s office condemned the allegations, stressing that “every city employee is expected to follow the law.”

As the case moves toward trial, the legal and cryptocurrency communities will closely watch how the court navigates the unique challenges posed by digital assets in a violent context. The defendants’ adherence to bail terms and the strength of the prosecution’s evidence will shape perceptions of accountability in a sector increasingly vulnerable to predatory behavior [1].

Sources:

[1] [Suspects in New York crypto kidnapping case granted bail] [https://www.cnn.com/2025/07/24/us/suspects-new-york-crypto-kidnapping-bail-hnk]

[2] [Men accused of waterboarding a bitcoin millionaire for his ...] [https://www.businessinsider.com/kidnappers-accused-of-waterboarding-bitcoin-millionaire-seek-bail-2025-7]

[3] [Accused NYC crypto bro kidnappers granted $1M bail] [https://nypost.com/2025/07/23/us-news/accused-nyc-crypto-bro-kidnappers-granted-1m-bail-but-judge-warns-they-cant-pay-in-bitcoin/]